Inference

Various types of retail outlets sell toys during the holiday season. Among them are specialty toy stores, the large discount toy stores, and other retailers that carry toys as only one part of their stock of goods. Is there any difference in the dollar amount of a customer purchase between a large discount toy store and a specialty toy store if they carry relatively comparable types of toys? Suppose in December a random sample of 60 sales slips is selected from a large discount toy outlet and a random sample of 40 sales slips is selected from a specialty toy store. The data gathered from these samples follow.
LARGE DISCOUNT TOY STORE SPECIALTY TOY STORE
X1 = $47.20 X2 = $27.40
S1 = $12.45 S2 = $9.82

Use hypothesis testing technique with a = 0.01 to determine whether there is a significant difference in the average size of purchases at these stores.

Solution Summary

The solution addresses the various types of retail outlets sell toys during the holiday season. Among them are specialty toy stores, the large discount toy stores, and other retailers that carry toys as only one part of their stock of goods. Is there any difference in the dollar amount of a customer purchase between a large discount toy store and a specialty toy store if they carry relatively comparable types of toys? Suppose in December a random sample of 60 sales slips is selected from a large discount toy outlet and a random sample of 40 sales slips is selected from a specialty toy store. The data gathered from these samples follow.

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